DOVER Corp (DOV) stock analysis

P/E above its 5-year median

Dover's P/E of 24.5 is above its own 5-year median of 18.2.

P/E below the industry

Dover's P/E of 24.5 is below the Construction, Mining, and Materials Handling median of 28.8.

EV/EBITDA below its 5-year median

Dover's EV/EBITDA of 16.3 is below its 5-year median of 16.4.

P/B above the industry

Dover's price-to-book of 3.66 is above the Construction, Mining, and Materials Handling median of 1.32.

Trading above fair value

The share price of $209.95 is above our fair value estimate of $170.06.

Margin of safety under 20%

The price is 23.5% above fair value, so there is no margin of safety.

Revenue growing under 10% a year

Revenue grew 1.0% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew 2.3% a year over the last three fiscal years.

Earnings growth not accelerating

Net income grew -48.1% over the last twelve months, against a 5-year average of 9.9% a year.

Growing slower than the industry

Revenue grew 8.2% over the last twelve months; the Construction, Mining, and Materials Handling median is 10.4%.

Guidance raised

Dover raised its full year organic growth outlook on Jul 23, 2026.

Gross margin improving

Gross margin was 39.7% over the last twelve months, against 39.7% a year earlier.

Return on equity over 15%

Return on equity was 15.2% over the last twelve months and averaged 27.5% over five years.

Return on capital over 10%

Return on invested capital was 11.9%, above the 10% that usually covers the cost of capital.

Return on equity above the industry

Dover's return on equity of 15.2% is above the Construction, Mining, and Materials Handling median of 4.5%.

Earnings grew over 5 years

Net income grew 9.9% a year on average over the last five fiscal years.

Net margin below its 5-year average

Net margin was 13.6% over the last twelve months, against a 5-year average of 18.0%.

Net margin above the industry

Dover's net margin of 13.6% is above the Construction, Mining, and Materials Handling median of 2.6%.

High debt

Debt is 51.7% of shareholders' equity, above the 40% we consider low.

Debt falling against equity

Debt to equity fell from 91.8% five years ago to 51.7%.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 35.7% of total debt.

Interest well covered

Operating income covers interest expense 12.7 times.

Short-term assets cover short-term debts

Current assets are 1.95 times current liabilities.

Low bankruptcy risk

The Altman Z-score is 5.49; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Dover paid dividends worth 1.0% of the share price over the last twelve months.

Yield below Treasuries

The 1.0% yield is below the 4.7% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Dover yields 1.0%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

Covered by earnings

Dividends take 24.1% of net income.

Covered by free cash flow

Dividends take 23.6% of free cash flow.